Crude Inventories Take a Surprising Dip as Oil Exports Spike

The dip in crude supplies was buoyed by the U.S.
nearly breaking its weekly record in crude oil exports, shipping out 3.7
million barrels a day, primarily from the Texas Gulf Coast, according
to new estimates from the U.S. Energy Department.

The drop in crude inventories was part of an even
bigger overall decline in petroleum stocks as supplies of gasoline, jet
fuel and distillate fuel oil – used to make diesel and heating oils –
all fell as well. Total commercial petroleum stocks fell by 9 million
barrels last week, the Energy Department said.

The decline jumps to 10 million when counting another
sale from the nation’s Strategic Petroleum Reserve, which is now down
more than 2 percent in the last 12 months.

For the third week in a row, the U.S. was actually a
net exporter of petroleum and products by a slim margin. This is the
first time that’s ever happened multiple weeks in a row. In fact, it’s
only happened a handful of times on a weekly basis.

The U.S. is still producing a record high of 12.6 million barrels of crude oil per day, the federal government estimates.